Choosing between an Emergency Student Loan or Cash Advance

The typical college student is burdened with debt throughout the college years and beyond. Both the federal student loans and private student loans are not issued directly to the student but to the college, and the approved amount is to cover tuition fees, accommodation and general needs such as books. Any surplus is given to the student to manage but if a miscellaneous emergency arises there may not be enough money on hand to cover it.

Most often the student will not have an established credit history of their own so will not be approved for a further loan by a major banking institution, whilst already carrying student loans. If an emergency injection of cash of cash is needed it well leave the student considering a loan or cash advance from one of the online lenders, who fill this gap in the market. Either option will leave the student facing the problem of repayment coupled with fees. For those already carrying the weight of student debt yet more borrowing is unwise and could well lead to difficulties.

The student will have the option of the cash advances and loans targeted at students who need cash quickly for an emergency, as their credit status will not be an issue. Those with no credit history or bad credit history are still eligible for this type of lending. Whilst a loan will give longer repayment terms to the student than a cash advance, ultimately it is going to be more costly and a cash advance would serve better if the student has the ability to repay it by the date due.

There are viable ways for the student to use a cash advance and deal with an emergency situation, and then earn quick cash to make the repayment. There may be work available through the college or advice available from the student finance office. Money can be raised quickly through plasma donation which is a well paid option for students who need to repay a cash advance and not let the fees on it spiral out of control.

If the means are available to repay an emergency cash advance quickly then it is the more sensible option to take, as it can be dealt with quickly and consigned to the past. A loan on the other hand will need consistent repayment over a longer period and may prove difficult to juggle. The short term option which can be dealt with quickly is the better solution of the two, but the student should only opt for the cash advance if certain that the repayment can be met in a timely fashion.